CoreWeave (NASDAQ:CRWV) Shares Down 3% Following Insider Selling

Key Points

• CoreWeave shares fell 3% to $84.23 after CEO Michael Intrator sold 307,692 shares worth about $27.3 million and CFO Nitin Agrawal sold 5,509 shares worth approximately $488,000. Both transactions were made under pre-arranged Rule 10b5-1 trading plans.
• The company continues to show strong growth, with quarterly revenue more than doubling year over year to $2.58 billion and exceeding analysts’ expectations, though it remained unprofitable with a $1.14 adjusted loss per share and a negative net margin.
• Analysts maintain a broadly favorable outlook, with a consensus “Moderate Buy” rating and an average price target of $141.90, but concerns remain about CoreWeave’s heavy debt load, rising GPU costs, competition and expected full-year losses.

CoreWeave Inc. (NASDAQ:CRWV - Get Free Report)'s stock price traded down 3% on Friday after an insider sold shares in the company. The company traded as low as $83.17 and last traded at $84.23. 17,211,377 shares traded hands during trading, a decline of 40% from the average daily volume of 28,474,244 shares. The stock had previously closed at $86.80.

Specifically, CFO Nitin Agrawal sold 5,509 shares of the stock in a transaction on Tuesday, August 25th. The stock was sold at an average price of $88.64, for a total value of $488,317.76. Following the sale, the chief financial officer directly owned 132,596 shares of the company's stock, valued at $11,753,309.44. This trade represents a 3.99% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Michael N. Intrator sold 107,692 shares of the business's stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $88.60, for a total transaction of $9,541,511.20. Following the transaction, the chief executive officer directly owned 1,553,062 shares of the company's stock, valued at approximately $137,601,293.20. This trade represents a 6.48% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In related news, CEO Michael N. Intrator sold 200,000 shares of the stock in a transaction dated Tuesday, August 25th. The shares were sold at an average price of $88.60, for a total value of $17,720,000.00. Following the sale, the chief executive officer owned 1,487,129 shares of the company's stock, valued at $131,759,629.40. This trade represents a 11.85% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Wall Street Analysts Forecast Growth

A number of research analysts have issued reports on CRWV shares. Roth Capital set a $145.00 target price on shares of CoreWeave in a research note on Thursday, August 13th. Sanford C. Bernstein lifted their price target on CoreWeave from $67.00 to $74.00 and gave the company an "underperform" rating in a report on Wednesday, August 12th. BNP Paribas Exane assumed coverage on CoreWeave in a research report on Tuesday, June 2nd. They set an "outperform" rating and a $192.00 price objective for the company. Barclays increased their price objective on CoreWeave from $90.00 to $105.00 and gave the stock an "equal weight" rating in a report on Thursday, August 13th. Finally, JPMorgan Chase & Co. raised their target price on CoreWeave from $105.00 to $110.00 and gave the company a "neutral" rating in a research report on Tuesday, August 11th. Twenty-one equities research analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and three have given a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $141.90.

More CoreWeave News

Here are the key news stories impacting CoreWeave this week:

• Positive Sentiment: CoreWeave is being integrated into Rescale’s AI cloud platform, expanding its reach into engineering simulation, research and development, and other high-performance workloads. The partnership could support broader enterprise adoption and improve utilization of CoreWeave’s GPU infrastructure. CoreWeave Enters Next Generation Engineering AI Workloads
• Positive Sentiment: Analysts at Truist said reported NVIDIA GPU price increases of roughly 17% may not necessarily damage CoreWeave’s profitability. Strong AI demand, customer contracts and potential pricing power could allow the company to pass along higher equipment costs. NVIDIA GPU Price Hikes Look Bad for CoreWeave
• Neutral Sentiment: CoreWeave’s recent earnings showed revenue more than doubling year over year to $2.58 billion, while the company continued to report a net loss. Analysts maintain a broadly favorable average rating, but forecasts still call for a full-year loss, reflecting the company’s rapid-growth investment phase.
• Negative Sentiment: CEO Michael Intrator sold 307,692 shares worth approximately $27.3 million, while CFO Nitin Agrawal sold 5,509 shares worth about $488,000. The transactions were conducted under pre-arranged Rule 10b5-1 plans, but their size and timing heightened concerns about insider confidence. CoreWeave Insider Selling
• Negative Sentiment: Investors remain concerned about CoreWeave’s debt-heavy balance sheet, negative earnings and the possibility that rising GPU costs or future competition could pressure cloud-computing prices and margins. These risks are weighing on the stock despite strong demand for AI infrastructure.

CoreWeave Price Performance

The company has a market capitalization of $38.65 billion, a P/E ratio of -23.08 and a beta of 7.44. The company has a current ratio of 0.46, a quick ratio of 0.46 and a debt-to-equity ratio of 5.53. The business's 50-day simple moving average is $87.84 and its 200 day simple moving average is $94.87.

CoreWeave (NASDAQ:CRWV - Get Free Report) last issued its earnings results on Tuesday, August 11th. The company reported ($1.14) earnings per share for the quarter, topping analysts' consensus estimates of ($1.52) by $0.38. CoreWeave had a negative net margin of 25.41% and a negative return on equity of 47.95%. The firm had revenue of $2.58 billion during the quarter. During the same quarter in the previous year, the business posted ($0.27) earnings per share. The company's quarterly revenue was up 112.5% on a year-over-year basis. As a group, sell-side analysts anticipate that CoreWeave Inc. will post -5.19 EPS for the current year.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the company. Cornerstone Planning Group LLC increased its position in shares of CoreWeave by 272.8% during the fourth quarter. Cornerstone Planning Group LLC now owns 343 shares of the company's stock valued at $25,000 after purchasing an additional 251 shares during the period. Cullen Frost Bankers Inc. grew its holdings in shares of CoreWeave by 45.8% during the fourth quarter. Cullen Frost Bankers Inc. now owns 385 shares of the company's stock worth $28,000 after purchasing an additional 121 shares during the last quarter. Greenline Wealth Management LLC acquired a new stake in CoreWeave in the 4th quarter valued at about $28,000. Essential Partners LLC bought a new position in shares of CoreWeave in the second quarter worth about $30,000. Finally, Peterson Wealth Services raised its stake in shares of CoreWeave by 153.1% in the first quarter. Peterson Wealth Services now owns 405 shares of the company's stock worth $31,000 after acquiring an additional 245 shares during the last quarter.

CoreWeave Company Profile

CoreWeave is a U.S.-based provider of GPU-accelerated cloud infrastructure designed to support compute-intensive workloads such as artificial intelligence, machine learning, visual effects rendering and other high-performance computing applications. The company supplies access to large fleets of modern GPUs and complementary infrastructure that enable customers to train and deploy large models, run inference at scale, and process graphics-heavy workloads with low latency and high throughput.

CoreWeave’s product offering includes on-demand and dedicated GPU instances, bare-metal servers, private clusters and managed services tailored for enterprise and developer use.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source